A continued breach of the U.S. debt ceiling could result in “significant disruptions” to financial markets and “severe damage” to the economy, including more than 8 million job losses, the White House has warned.
In a report published on May 3, the White House Council of Economic Advisers stressed that a historic U.S. default on its debt obligations—referred to as the “X-date”—is fast approaching, and such a move would see the economy “quickly shift into reverse.”
The warning comes just days after Treasury Secretary Janet Yellen said the United States could default on its financial obligations as early as June 1 unless Congress takes action to raise the nation’s $31.4 trillion debt ceiling….